Sales Force Control: A Synthesis of Three Theories

Abstract

This article, first, synthesizes three theoretical approaches to salesforce control systems and, second, examines the effect of the control mechanisms on key consequence variables. More specifically, the manuscript develops a comprehensive model of salesforce control by integrating key constructs from three alternative theories: organization theory, agency theory, and transaction cost analysis. The constructs are (1) outcome observability from organization theory, (2) behavior observability from agency theory, (3) transaction-specific assets (TSA) from transaction cost analysis, and (4) task programmability or environmental task uncertainty, a key construct in all three theories. In addition, the study examines the effects of controls on certain consequence variables: salesperson-customer relationships and salespersons' motivation and organizational commitment.